Welfare is a subsidy for people, not for companies. It raises the cost of labor for companies since it gives potential workers th - in fact ie "stay home and play video games but get money anyway" option.
Absent welfare we'd have far more people working since they'd have no other choice, which would lower prices for companies and create more value for consumers.
I'm also not sure why you are so dismissive of the fact that McDonald's will become more expensive and less available to consumers. Is it because McD's customers are mostly low status poor people that it's so easy to ignore their utility? If the result of a UBI was less healthy organic GMO free vegetables sold to starving artists at farmers markets (or less child care for working women) would that change things?
> Welfare is a subsidy for people, not for companies. It raises the cost of labor for companies since it gives potential workers th - in fact ie "stay home and play video games but get money anyway" option.
When a restaurant pays its full-time employees a wage so low that they need to be on food stamps to survive, that's a subsidy for the company as much as anyone. Since we have a minimum wage, McDonald's can't legally get labor any cheaper than they currently do, no matter how much the labor supply increases.
Absent welfare we'd have far more people working since they'd have no other choice, which would lower prices for companies and create more value for consumers.
I'm also not sure why you are so dismissive of the fact that McDonald's will become more expensive and less available to consumers. Is it because McD's customers are mostly low status poor people that it's so easy to ignore their utility? If the result of a UBI was less healthy organic GMO free vegetables sold to starving artists at farmers markets (or less child care for working women) would that change things?